I'm deathly afraid of having to report bond/stock earnings to Uncle Sam. I feel like my tax returns are complex enough and I don't want to deal with any additional complexity. I'm looking for a way to safely invest the money I'm saving for a down payment on a car (about 5 years away) without complicating my taxes. I've maxed out my Roth IRA for the year so that's not an option.
I heard about these tax-exempt bond funds. If I buy a tax-exempt bond fund, will I have to report the earnings from it on my taxes?